June 30 2014

Landsvirkjun's Clean, Cheap Energy Lures Data Centers

Data Center Knowledge featured Icelandic utility company Landsvirkjun as a hotspot for data centers.

With its immense amount of renewable resources and naturally cool climate, Iceland is an increasingly popular location for data centers. Icelandic utility company Landsvirkjun already provides 100% of the power for the data center Verne Global, and is targeting others in the industry by offering superior power security and 12-year fixed rate contracts.

All of Landsvirkjun's power comes from renewable resources like wind and water, making their power incredibly secure and relatively inexpensive. In addition, Iceland's naturally cold and windy climate means it can naturally cool hot servers - something that normally consumes huge amounts of energy. In addition, although the country is home to several volcanoes, it's at a relatively low risk for natural disasters, adding another layer of security.

Data Center Knowledge recently spoke with Rikki Rikardsson, director of sales for Landsvirkjun, who said “The data centers that we have are growing. Verne Global is growing, doubling their business every few months. Data centers are an emerging industry in Iceland. Time will tell if we can build a big cluster out of it.”

Companies like Facebook and Google already have data centers located in other Nordic countries, and more large corporations are exploring Iceland as a potential location. Rikardsson added, “The aim is you don't need to put data centers in every country. You want to be able to place it in a region and be sure that the data privacy and security interests are addressed. We certainly aim to be part of that.”